In today's podcast we will be going over a situation that another investor has recently found himself in.

As I read through this scenario, I will answer any questions they have and I will explain what I would do/have done in this type of situation.

Show Notes
In This Scenario, We Cover:

* Hey Michael need a little advise and hoping you could point me in the right direction. I bought a house Subject to the existing financing from a guy back in June. His wife called me tonight, in December, saying she is going to get the property back and sell it and that her husband was diagnose with Alzheimer’s a week ago and may have had it for some time. I am speechless. She says I am screwed and there is nothing I could do and no judge would rule in my favor. In May he entered into a contract with me to purchase the house subject to existing financing with the loan balance $110,452.95.We closed the property on June 18th. He signed a Seller's Due on sale disclosure, Borrower's Authorization to Release Loan Information, Limited Power of Attorney, Mailing Address Change notification, Insurance Change Notification, AND a long list of Seller Acknowledgement and addendum to the Purchase Agreement. In there he initialed that he is under no duress and is mentally competent and that he entered the purchase agreement transaction thoughtfully and deliberately. The loan is current. I have since put $40,000 in to the property and turned it into a 5 bedroom 3 bath house with a buyer lined up to close in February once I finish.

He sold me this house because he said that he was moving with his wife and that having two houses was becoming difficult to maintain. I even caught the mortgage up since it was 2 months behind when I bought it from him.

Can the wife, who was never on title, get a power of attorney and take the property from me? Will a judge allow this to happen? Can she stop me from selling this to my buyer that I have lined up by filing a lis pendens? What are my options? She has threatened me.

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